The official launch of H&L Advanced marks the first achievement in the restructuring of South Korea's petrochemical industry.
On September 4, H&L Advanced, a joint venture between HD Hyundai Chemical and Lotte Daesan Petrochemical, held its inauguration ceremony at the Daesan Industrial Complex in Seosan, South Chungcheong Province.
About 180 executives and employees attended the event, including co-CEOs Cho Nam-soo and Cheon Yang-sik, Lotte Group's chemical division head Lee Young-jun, and HD Hyundai Oilbank CEO Song Myung-jun, who shared the vision for the newly formed company.
H&L Advanced was established through the 'Daesan No. 1 Project' aimed at enhancing competitiveness in the domestic petrochemical sector. The name combines the identities of HD Hyundai Chemical (H) and Lotte Chemical (L), along with the term 'Advanced' to signify sustainable growth through change and innovation.
The company plans to optimize the entire process from raw material procurement to product production by integrating the strengths of the refining and petrochemical sectors. This strategy aims to maximize operational synergies, improve production efficiency, and enhance cost competitiveness.
In the medium to long term, H&L Advanced intends to expand its business portfolio, focusing on specialty materials and eco-friendly products, thereby upgrading its structure centered on general petrochemical products and securing a foundation for future growth.
During the launch ceremony, Song Myung-jun expressed optimism, stating, "H&L Advanced is expected to leverage the capabilities and experiences of both companies to become an agile organization with strong competitiveness. I hope it serves as a starting point for new possibilities in South Korea's petrochemical industry."
Lee Young-jun added, "Lotte and HD Hyundai chose the path of integration to secure the competitiveness of the Daesan project based on the trust and cooperation built through our joint ventures. I expect the combined strengths of both companies to lead to meaningful results across production and operations."
Meanwhile, since the government initiated restructuring in the petrochemical industry last August, Lotte Chemical and Yeocheon NCC have been working on facility integration and reductions in Yeosu. Discussions on restructuring plans are also ongoing among major companies in Ulsan.
* This article has been translated by AI.
Copyright ⓒ Aju Press All rights reserved.